Meanwhile the Eurodollar futures curve also advanced sending implied yields lower by 10-ticks at deferred maturities.
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Eurodollar futures and options trading also picked up, bolstering average daily volume for the company.
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The eurodollar exchange rate fell to its lowest level since July 2010, down 0.8% to 1.2577.
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The yield on the benchmark stands at 3.58%, while implied yields on Eurodollar futures eased by one pip.
Standing in the eurodollar pit, Scott, 40, trades with a handheld device allowing access to the Merc's electronic exchanges.
While Duffy won over traders, Donohue worked a legal angle. jpmorgan planned to move its Eurodollar trading to Liffe.
Deferred Eurodollar contracts also halved session losses to trade down five basis points.
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Eurodollar futures expiring beyond June 2013 surged with implied yields slumping by 18 basis points as the yield curve flattened.
Those against say that London could make a killing as an offshore market as it did with the eurodollar market in the 1970s.
The Eurodollar curve flattened as dealers sold front month futures and bought deferred maturities on account of growing liquidity fears over in Europe.
Growth in average daily volume is attributable to a strong rise in Treasury and Eurodollar volume, which increased by 30% and 23% respectively.
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New York could lose some of its international standing with heavy handed regulation of the sourt that led to the off-shore Eurodollar market.
At stake are trades in eurodollar futures--bets on short-term interest rates affecting American dollar deposits outside the U.S.--accounting for 53% of the Merc's overall volume.
It recently formed an alliance to allow users to trade Eurodollar futures on the Chicago Mercantile Exchange, as well as swaps, through the Blackbird platform.
In the end the board won its right, and Eurodollar futures migrated quickly online. (Today 92% of that trading is electronic.) "I can't regret what I did, " says Duffy.
Eurodollar futures have slipped by around four basis points as traders are primed with practically all they need to know ahead of the release of April minutes this afternoon.
It told Eurodollar traders that unless 25% of its most active volume went digital within three months, the board would be forced to shut down sections of the Eurodollar floor.
Eurodollar futures plunged at the sight of another strong posting and within minutes reflected a surge in implied yields of 17 basis points with the curve steepening at further maturities.
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Eurodollar futures are higher having traded with losses earlier.
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Amid the anxiety of what might come next from the Fed, the yield curve continues its steepening bias with nearby Eurodollar futures making slim gains while deferred contracts are firmly lower midweek.
Eurodollar futures and options, where investors hedged or speculated on the interest rate paid on a 90-day deposit of a dollar overseas, were half of the Merc's business, with 1.5 million contracts traded per day.
Implied yields declined by increasing amounts along the Eurodollar curve while the September treasury-note futures contract was lower by 12-ticks following his remarks and partially in response to a calmer session for European government bonds.
In the latter regard, the Boston Globe recently put a spotlight on a major public policy issue that has been ignored by virtually every other newspaper in the United States: the ominous financial, political and strategic implications of Moscow's incipient bid to market bonds on the Eurodollar market .
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